14 August 2023, Mumbai

The luxury apparel segment has managed to keep its head above troubled waters as the global premium markets slowly bounce back after two troublesome pandemic years.

While brands strive at retaining their original brand values and authenticity to keep customer loyalty, the New Age consumers are making purchases that reflect well on them along with new expectations that the Covid years have brought about.

Insights

A recent Market Research Future report has highlighted the market will achieve $139.2 billion in 2030 at a 3.23 percent CAGR by 2023-30.

The increased use of e-commerce has given a boost to sales with luxury clothing brands working with renowned designers to create small exclusive collections that are not readily available to the general public.

The apparel segment among all others will lead the global luxury market while the Gen X consumer group and women as per gender will spearhead the market over the forecast period. By distribution channel, offline will once again command the market as newer and bigger stores with a feel-good experience sprout up in major metros.

It’s a very long road from top luxe brands

With Louis Vuitton being the first international premium luxury brand to arrive way back in 2002, hundreds of global fashion players have now entered making it the fastest-growing market in the global luxury segment.

Datapoints; As per Euromonitor International estimates, the Indian market will be worth $8.5 billion in 2023, having increased by an impressive $2.5 billion in 2021, although this complex premium market requires a deep knowledge of local culture to navigate choppy waters. India’s luxury consumption, actually surged during 2020 and 2021 due to the closure of international travel, forcing rich Indians to buy locally.

However, even after travel curbs were lifted, the market is showing signs of sustained demand.

Arriving

India’s largest player in the luxury market is Reliance Brands (RBL) which has partnerships with over 60 brands, including Tiffany, Burberry, and Giorgio Armani along with investments in homegrown luxury brands such as Manish Malhotra, Ritu Kumar, and Abu Jani-Sandeep Khosla.

In fact, several global luxury companies are now introducing their latest global catwalk collections in the country and special India-only editions. They include big LVMH and Aditya Birla-owned multi-brand outlet, The Collective, among others.

Meanwhile, the lucrative wedding market too has shown significant growth, and luxury fashion houses such as Purple Style Labs founded by Abhishek Agarwal, which operates Pernia’s Pop-Up Shop and Wendell Rodricks, have estimated India’s current luxury industry at Rs 10,000-12,000 crore, where the wedding collection segment is worth Rs 7,000-8,000 crore distributed among almost 1,000 designers and premium brands.

Drivers of the red carpet road ahead

However, for many luxury brands, India has remained only about two-three EBOs located only in major Tier I cities that focus on customer attention locally rather than waiting for Indians to travel abroad to make their exclusive purchases.

Analysts remain in hope that India could well be the next China if this sustainability in the luxury segment continues.

Emerging technologies

Premium consumers need savvy brands that use digitally enhanced retail, digital tech, and AI to create relevance, foster loyalty, and ultimately boost their bottom line as well as cater to the specific needs of each of their valued customers

As global pressure grows to make the fashion industry more circular, premium  retailers and brands need to focus on adapting their distribution and retail strategies in post-pandemic years by encouraging repairing, promoting recycling, and facilitating the resale and rentals of products to minimize overfilling of global land-fills and create a greener environment.

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08 August 2023, Mumbai

The Ministry of MSME is partnering with the Khadi and Village Industries Commission (KVIC) to bolster the Khadi sector.

The government provides financial assistance

Initiatives include endorsing the Khadi Mark and establishing a niche for quality and sustainable Khadi and Village Industries (KVI) products. Financial support is provided for individual and group workshed construction to enhance khadi workers' conditions and fortify weak khadi institutions' infrastructure.

Refurbishes/modernizes CSPs

Raising spinning wages from Rs. 7.50/- to Rs. 10.00 per hank is set to augment artisans' earnings. Collaborating with the Textile Research Association, the KVIC is modernizing CSPs to enhance quality and productivity, lowering moving costs.

These steps aim to elevate production, sales, employment for artisans, and khadi's affordability and sustainability. Furthermore, KVIC's cost management measures encompass utilizing the Price Fluctuation Fund to balance raw material and khadi fabric price hikes.

Sliver/roving costs were held at Rs. 227/Kg until 31.03.2022, then revised to Rs. 385/Kg on 01.04.2022. Cotton costs fell significantly, leading to a corresponding 40% drop in sliver/roving costs to Rs. 265/Kg on 01.04.2023.

KVIC's prompt actions maintained raw material supply to Khadi Institutions, safeguarding uninterrupted production. There are no current plans to waive the 5% GST on cotton sliver, and Khadi institutions remain operational despite lower production levels.

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From September 22 to 24, Bridal Asia, the premium bridal and occasion wear exhibition, will transform New Delhi into a fashion hub, showcasing an exquisite selection of clothing, accessories, and jewelry brands.

To Showcase Luxury Brands

Held at the city's NSIC Grounds in Okhla, this festive edition aims to connect prestigious brands with new customers in a wedding-themed extravaganza.

Latest Collections

Anushree Reddy, the luxury traditional wear brand, will unveil its heavily embellished, floral lehengas, offering shoppers a chance to witness the brand's latest creations up close.

Other esteemed brands like Sahil Kochhar, Sva by Sonam and Paras Modi, Itrh, Prints by Radhika, and Badalia Gems Jewellers from Kolkata will also be part of this grand shopping fair.

Bridal Asia's mission is to foster connections between premium brands and affluent shoppers, with previous successful events in Mumbai, Hyderabad, and New Delhi, catering to the tastes of millennial audiences.

Expand footprint

Mumbai will be the next stop, with another exciting shopping fair scheduled at the Jio World Convention Centre from August 12 to 13, featuring exclusive brands like Tad, Amama, Sambhav Mehta Fine Jewels, and Sureena Chowhri.

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14 August 2023, Mumbai

Good Earth, the renowned brand known for its fashion, homeware, and lifestyle products, has introduced an exclusive in-house women's clothing line named Titli.

Features a ‘Vibrant Palette of Jewel’

This premium label reimagines silk as a versatile and timeless fabric suitable for everyday wear. Titli's inaugural collection showcases an array of jewel-toned silk separates, including tunics, matching sets, and fusion-style ensembles, all boasting a vibrant and rich color palette.

The contemporary designs employ clever use of dual colors, often incorporating checked patterns to introduce a captivating blend of hues.

Tone Silk

The silk textiles are artfully crinkled, adding a subtle yet distinctive texture to the striking color combinations. With the launch of Titli, Good Earth seeks to redefine silk from being exclusively reserved for special occasions to becoming a staple for daily dressing.

An array; The debut range encompasses a variety of ethnic essentials like kurtas and kaftans, alongside jackets, skirts, kimonos, and trousers.

The collection further showcases its diversity through an assortment of printed scarves. Titli's collection is now accessible both online and in Good Earth's brick-and-mortar stores, inviting fashion enthusiasts to explore and embrace the allure of silk for all occasions.

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12 August 2023, Mumbai

Puma India has signed up promising young actor Shanaya Kapoor as its new brand ambassador, in a bid to connect with the Gen Z audience in India.

Kapoor is a popular figure on social media with over 1.8 million followers, and is set to make her debut in two major Indian film productions this year.

Great connect

Puma believes that Kapoor's image and personality will resonate well with Gen Z consumers.

As part of the association, Kapoor will front Puma's athleisure and performance wear lines, and will also be featured in a number of marketing campaigns for the brand.

Puma India is hoping that the association with Kapoor will help it to tap into the growing influence of Gen Z consumers in India.

Youthful

Gen Z is a major driver of growth in the Indian retail market, and Puma is looking to position itself as a brand of choice for this important demographic.

Celebs; In addition to Kapoor, Puma India also has a number of other brand ambassadors, including Kareena Kapoor Khan, Anushka Sharma, and Harmanpreet Kaur.

The brand is known for its association with celebrities and sports stars, and it is hoped that this strategy will continue to resonate with consumers in India.

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26 July 2023, Mumbai

India’s clothing influence transcends borders, especially ethnic wear. The grandeur of Bollywood, regular Indian events abroad, and international stars strutting around Indian venues have all contributed to the rise of India’s ethnic wear beyond its shores.

Jennifer Aniston’s ivory lehenga-choli in an Indian wedding scene in Murder Mystery 2, designed by designer Manish Malhotra, created quite a buzz in global fashion circuits.

Arrives

A great example of Indian ethnic wear has arrived is the Indian fashion icon Sabyasachi’s exclusive outlet in New York City’s West Village. It’s his first store in New York and is authentic, maximalist, and India-proud.

There’s no other way to describe this opulent, elegant, luxurious and Indian store. From the odd-hippy-styled short kurtas in flamboyant designs to elegant, wearable, and authentic Indian ethnic wear, the US, Canada, the UK, Australia, Singapore, Malaysia, Thailand, and Indonesia are markets where the trend has caught on.

Flashpoints of Indian ethnic wear’s global ambitions

Each Indian ethnic wear brings its own history, charm, characteristics, and beauty. That’s why many homegrown brands are making efforts to popularise such artisanal work across the world. Fabindia introduced FabNu, a new style women’s wear line in August 2021.

Through the launch, the company aimed to serve young customers of not only Indian descent but also those who knew of and loved the seamless style of Indian ethnic wear. This line included four collections: Indie Dreams, Flashback, Conversation Starter, Folkadelic.

Out of box

The brand targeted most of its sales from online platforms and through its stores in Dubai, Bahrain, Doha, Rome, and Guangzhou.

Kalki Fashion is another niche success story.

Brain-child of second-generation entrepreneur Nishit Gupta, this label sells products globally, to even to remote countries such as Norway, and has a dominant customer base in the US.

Growth story; In an interview with a fashion podcaster, Nitish said global demand for Indian ethnic wear has grown significantly in the last five years and that his brand was one of the first to introduce video shopping through live online trunk shows which had garnered an appreciative non-Indian customer base.

From pure silk Banarasi to Jaipuri gota, Lucknowi chikankari, and more, Kalki has over 500 artisans on board to create these traditional handcrafted pieces.

The Indian Ethnic Co is a Mumbai-based brand founded by the mother-daughter duo Hetal and Lekhinee Desai in 2016. In just seven years, the clothing brand sells to around 50 countries globally.

Uptick

The Indian Ethnic Co has witnessed a jump in global sales and as Lekhinee says they have a strong customer base in the US, the UAE, Singapore, and Japan. The brand is focused on making Indian fashion responsible, sustainable, and truly handcrafted.

The company deals in handcrafted fabrics like Ajrakh, Bandhani, Bagh, Batru, Balotra, Dabu, Sanganeri, and more. Besides salwars-kurtis, they offer saris, dupattas, western and Indian tunics, silver jewellery, and more. It works with around 500 artisans from across the length and breadth of India.

Convergence

Many other Indian ethnic wear labels are now flourishing across borders, encouraged by the purchasing power of the Indian diaspora as well as non-Indians who are appreciative of what India has to offer sartorially.

While a few of the well-known brands have established their physical presence in some countries, most Indian ethnic wear brands have benefited from e-commerce, making their products accessible without the burden of expensive outlets which in their starting stages would be a financial nightmare.

Latest Textile Events

26 July 2023, Mumbai

Market Insights

The Indian apparel market has witnessed remarkable growth, expanding between 15-20% in FY2023, reaching an estimated size of Rs. 7.80 lakh crore, according to the Clothing Manufacturers Association of India (CMAI).

Positive prospects despite challenges

The organized sector is projected to capture a substantial 25-30% share, with renowned brands like Shoppers Stop, Reliance Trends, Lifestyle, V-Mart, and others actively extending their presence in Tier-2 and Tier-3 markets.

Despite a slowdown earlier in the year, with moderate growth of 5-6% in garment retail sales, there is optimism surrounding the forthcoming festive season, as demand for apparel is expected to surge.

NGF

Recently, the CMAI hosted the 77th edition of the National Garment Fair (NGF 2023) in Mumbai, witnessing an impressive gathering of over 35,000 visitors, including national and regional retailers, distributors, and wholesalers, presenting a diverse range of fashion at the event.

About CMAI

With a rich history dating back six decades, the CMAI stands as the representative association of the Indian apparel industry, comprising over 4000 members and serving more than 20,000 retailers. It is the sole Indian association representing the entire apparel industry on esteemed international platforms like the International Apparel Federation (IAF).

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